Resources Connection Inc. (RGP)
NASDAQ:RGP
Earnings Data
Report Date
Jul 23, 2026After Close (Confirmed)
Period Ending
2026 (Q4)Consensus EPS Forecast
-0.08Last Year’s EPS
-2.23Same Quarter Last Year
Moderate Buy
Based on 1 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Neutral
The call portrayed a company navigating a challenging top line — consolidated revenue fell ~19.6% YoY and consulting revenue plunged ~32.5% — while taking decisive actions to stabilize margins, reduce costs (targeting $12–$14M annualized savings), strengthen leadership (notably in AI and IT), preserve liquidity ($82.8M cash, no debt) and selectively reinvest to drive future growth. Management expects revenue growth in fiscal 2027 (likely in the latter half) but near‑term guidance remains down ~16% YoY at the top end, with Q4 trends currently below Q3. Overall, meaningful operational progress and balance‑sheet strength offset but do not fully negate significant revenue and profitability pressure in the near term.Company Guidance
Consolidated Revenue and Key Metrics Reported
Consolidated revenue for Q3 was $107.9 million; gross margin improved to 35.7% (up 60 basis points vs. 35.1% a year ago). Enterprise average bill rate was $120 (constant currency).
On‑Demand Talent Margin Improvement
On‑Demand Talent revenue was $40.9 million (down 16.3% YoY) but segment adjusted EBITDA rose to $2.9 million with a 7.0% margin versus $2.6 million (5.5%) a year ago, driven by higher bill rates (to $146 from $140), lower headcount and cost discipline.
Cost Reductions and SG&A Progress
Enterprise run‑rate SG&A was $39.4 million in Q3, a 10% improvement versus $43.7 million a year ago. Company expects total annualized cost savings of approximately $12 million to $14 million (partially being reinvested).
Strong Liquidity and Capital Flexibility
Quarter end cash and cash equivalents of $82.8 million, no outstanding debt, $79 million remaining under the share repurchase authorization and continued dividend program ($2.3 million in quarterly dividends).
Strategic Leadership Hires and AI Focus
Added Chief Artificial Intelligence Officer (Jessica Block) and Chief Information Officer (Prashant Lamba) to accelerate AI capability and simplify technology/operations; company views AI as a net tailwind and is investing to capture opportunities.
Consulting Integration and Simplification Initiatives
Completed organizational and operational integration of legacy consulting units into a unified Consulting segment with new senior leadership to simplify go‑to‑market and enable cross‑selling alongside On‑Demand Talent.
Selective Reinvestment Strategy
Management is selectively reinvesting a portion of cost savings into leadership, sales capacity and client‑facing capabilities to support revenue recovery, with expectation that investments will contribute to growth by the latter half of fiscal 2027.
Regional and Service‑Line Stability
Europe & Asia Pacific delivered solid YoY growth in Japan, India and the Netherlands despite some timing impacts; Outsourced Services remained stable with modest sequential growth and healthy margins (15.1% in Q3).
RGP Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
RGP Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 08, 2026 | $3.52 | $3.46 | -1.56% |
Jan 07, 2026 | $5.17 | $4.42 | -14.61% |
Oct 08, 2025 | $4.79 | $4.59 | -4.03% |
Jul 24, 2025 | $5.03 | $5.52 | +9.87% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Resources Connection Inc. (RGP) report earnings?
Resources Connection Inc. (RGP) is schdueled to report earning on Jul 23, 2026, After Close (Confirmed).
What is Resources Connection Inc. (RGP) earnings time?
Resources Connection Inc. (RGP) earnings time is at Jul 23, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is RGP EPS forecast?
RGP EPS forecast for the fiscal quarter 2026 (Q4) is -0.08.